Category: High Net-Worth Divorce

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Divorce High Net-Worth Divorce Marital Property Division

High Net Worth Divorce? Some Mistakes to Avoid

Post author By Scott
Post date December 2, 2014

Divorce is difficult for everyone. Coming to the conclusion that you and your spouse are better off apart than together is emotional. This doesn’t change whether you are wealthy, or not. The difference that wealth makes comes when it comes to dividing assets and settling financial agreements. Because of these additional complications, it’s best to get some advice for your high net-worth divorce.

Missteps in High Net-Worth Divorces

Here are some damaging missteps you don’t want to take if you are facing a high net-worth divorce:

Day in Court Assumption

Don’t assume your “Day in Court” will turn out the way you expected. According to divorce financial analyst and CEO of Source Financial Advisors, Michelle M. Smith, “There are options besides court that have a higher probability of getting you what you want and getting you what you want privately. Having your net-worth statement and personal dramas splashed across ‘Page Six’ is not what most clients set forth as goal number one in their divorce.”

“Advice” from Friends and Family

Friends and family always want what’s best for you. So while they’re giving advice, know that it might not always be the best. According to managing partner at Flynn Family Office, Richard J. Flynn, “In our experience working with wealthy divorcees, there are many times they are not inclined to share a lot of information with friends and family, who usually don’t understand the legal and financial implications involved. The goal of the wealthy going through one of the largest personal financial transactions in their lives is not only to surround themselves with emotional support from well meaning family and friends but to also obtain solid and specific divorce-related advice from the best available talent in the field.”

Look at the Whole Financial Picture

Working with a divorce financial specialist can be really helpful. “While financial divorce specialists complement and can never replace divorce lawyers, their role is to – from the start of the process to after the divorce is finalized – ensure the financial well-being of their clients,” says Smith. “For example, they’re often extremely effective in providing the supporting evidence for settlements.”

Source: Forbes, Three Of The Biggest Mistakes The Wealthy Make When Divorcing, June 9, 2014

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Tags Divorce, divorce advice, High Net-Worth Divorce

$1 Billion in Divorce Settlement

Post author By Scott
Post date November 12, 2014

In one of the largest divorce judgments ever, Continental Resources Chief Executive Officer Harold Hamm will pay nearly $1 billion to his ex-wife.

$999.5 million Divorce Settlement

Following the nine-week divorce trial, Oklahoma Special Judge Howard Haralson ruled oil magnate Hamm, 68, should pay Sue Ann Hamm, 58, a total of $995.5 million, thus making her one of the 100 wealthiest women in the United States. The two were wed in 1988 and had no prenuptial agreement. Sue Ann Hamm was also an executive at Continental at one point.

Continental

The amount, though large, is smaller than what her lawyers sought. The ruling also will not require Harold to sell any of his shares of Continental. He currently holds 68 percent of Continental’s shares. His stake is currently worth close to $13.9 billion, which has dropped from before the trial began, when his stake was more than $18 billion.

Divorce Settlement

While Judge Haralson’s ruling is subject to appeal, the judge placed a lien on 20 million shares of the company’s stock to secure the judgement. The judge also ordered Hamm to pay his ex-wife about one-third of the funds, which equates to $322.7 million, by the end of the year. The remaining payments, $650 million, in installments of at least $7 million per month. Much of the trial centered on how much of Continental’s growth could be attributed to Harold Hamm’s management decisions, in order to thus provide lawyers with a better understanding of his net worth.

Among the assets that were awarded to Sue Ann Hamm, was the couple’s $17.5 million ranch in Carmel, California, and a home estimated to be worth $4.7 million in Oklahoma City.

For advice on divorce, you need the expert law firm of Divorce Law LA. Schedule a consultation today.

Source: Reuters, Continental Resources CEO ordered to pay $995 million in divorce, November 10, 2014

33 S. Catalina Ave. Ste. 202

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Tags Divorce, divorce agreement, divorce settlement

Child Custody Child Support Family Law High Net-Worth Divorce

Pacer’s Star in Middle of Child Custody Dispute

Post author By Scott
Post date October 17, 2014

NBA player Paul George and Daniela Rajic, a former dancer at Tootsie’s Cabaret in Miami are close to finalizing their child custody dispute. According to George’s lawyer, the two are finalizing a “joint parenting, joint decision-making” resolution over their 5-month-old daughter, Olivia.

Paternity Suit and Child Custody Battle

George,24, a forward for the Indiana Pacers, was locked in a nasty custody battle with Rajic, 24, when she brought a paternity suit against him after baby Olivia was born in May. It sounds like that battle is coming to an end. Just this past week, Manhattan Supreme Court Justice Matthew Cooper, the judge presiding over their custody case, joked it was a “love fest” between the two. He was pleased to see that George and Rajic chatting before the hearing began. He went on to say it looked like “two people who understand they’re going to be tied together for a real long time,” Cooper said. Adding, “They will both be participating in their daughter’s life, and that makes me feel extremely gratified. I am very pleased that this case has moved forward the way it has.”

George Hasn’t Met Daughter

George has not yet met his daughter, and in prior hearings Cooper skewered George for dodging the paternity suit. The basketball player had failed to appear at court dates, despite being able easily attend press conferences and traveling. “He has gone to every length imaginable to avoid taking responsibility for his actions,” the judge wrote. George’s new attorney, Harriet N. Cohen, said, “Paul George is looking forward to a very, very wonderful relationship with his daughter.”

Must Finalize Resolution

The parents will not be required to return to court as long as they finalize a resolution. The agreement will also include child support. In May, Rajic filed the paternity suit against George in Manhattan Family Court. George responded with his own filing, in Florida, seeking full custody of their daughter. George claimed shared custody would be “detrimental” to Olivia because Rajic is unemployed. She’s now taken on the roll of a full-time mother, while living with her parents. “I’m happy everything’s resolved and is moving forward. We’ll be wonderful parents,” she beamed.

George broke his right leg during practice with Team USA in August. He is out for recovery.

Source: New York Post, Pacers star’s parenting deal with ex-stripper baby mama, October 17, 2014

33 S. Catalina Ave. Ste. 202

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Tags Child Custody, child custody dispute, Child Support, child support payments

Divorce Family Law High Net-Worth Divorce Marital Property Division Mediation

Tips for Dividing Art During Divorce

Post author By Scott
Post date September 22, 2014

During divorce, one of the biggest arguments that can be had is over the artwork. Because of this, if you’re an art lover on the verge of filing for divorce, you might want to take some time to acquaint yourself with some legal and tax basics.

As Rough as Child Custody

“I’d put it in the same category as child-custody battles,” says Suzanne Landers, a family law attorney. She says that emotional attachments to are can often outweigh any financial considerations. In a lot of divorces, the decisions made regarding who gets what painting or sculpture can take longer than divvying up houses, cars, or even money.

Create an Inventory

According to Raoul Felder, a divorce attorney in New York City, divorcing couples need to first create a developed list that details all of the art that was bough during the marriage, and also prior to the marriage. Additionally, a list of the art sold price of the sale; and art that hasn’t been sold should be made. The art that has been obtained prior to the marriage, or (depending on jurisdiction) after the couple has legally separated or filed for divorce is not considered to be marital property, and is considered to belong to the spouse that purchased it. Another thing to remember is that if a spouse agreed to buy a piece prior to the marriage, and that piece arrives after the wedding, it is also excluded from the list of marital assets. It’s best disclose all relevant documents and pieces of art. As family and art law practitioner, Valerie L. Patten, warns, if fraud is determined, “half or even 100% of any undisclosed and unallocated assets may be awarded to the other spouse.”

Bring in an Appraiser

“The love of art grows exponentially after the appraiser’s report comes in,” especially when the items grow in value, says lawyer Ike Vanden Eykel. A couple can either decide on one appraiser, or can each hire their own. It’s important to remember that appraisers can determine different amounts, and those amounts can be far apart. The couple should either agree to split the difference if there are widely conflicting appraisals, or decide to take the differences into account when negations are made. You can then take other assets as parts of the bargaining process – such as the house, vacation home, or car. As Mr. Vanden Eykel says, “You don’t want to leave things up to a judge to decide, because the court will only order that everything be sold.”

For advice on divorce, you need the expert law firm of Divorce Law LA. Schedule a consultation today.

Source: The Wall Street Journal, Tips for Dividing Art in a Divorce or Death, September 21, 2014

33 S. Catalina Ave. Ste. 202

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Tags division of assets, Divorce, Family Law

The Hamm Divorce

Post author By Scott
Post date September 2, 2014

May 18, 2012 – Jane Doe files for divorce from John Doe, claiming allegations of cheating. Might seem routine. Except for when the Jane Doe and John Doe were revealed to be Sue Ann Hamm and Harold Hamm, the founder, chairmen, and CEO of the multi-billion oil and gas company Continental Resources, Inc.

Large Amounts of $$$ at Stake

The divorce, being worked out now, with nearly $17 billion at stake, could go down as the most expensive and financially complex divorces in U.S. history. Most of the wealth was accumulated during the couple’s 26 years of marriage.

Sue Ann Hamm is a former lawyer for Continental. Harold Hamm owns two thirds of the company’s stock. If she wins what she is seeking – somewhere between 3 and 6 billion – she would instantly become one of the richest women – in the world.

Already Timely

While most divorce trials last a day or two, this one has already breached its fourth week (of an estimated nine). The case has raised questions regarding information a publicly traded company should be forced to disclose when one of its leaders goes through a divorce. According to legal experts, while the couples personal and professional history play a part in the decision, so does the price of Continental’s stock.

According to financial and legal analysts, a $3 billion award to Sue Ann Hamm would likely mean Harold Hamm would need to sell a large amount of his own company stock to be able to cover the judgment. As a result of this, Harold Hamm would no longer be the largest stock holder in the company.

“You can make a strong argument that because the future control of the company is in jeopardy because of this divorce, it should have been disclosed,” said Toby Galloway, partner at Kelly Hart & Hallman.

No Prenuptial Agreement

While the couple did not sign a prenuptial agreement, under Oklahoma law, Harold Hamm is allowed to keep everything he had during the time of the couple’s marriage. This includes 122 million shares of Continental stock. But according to family law lawyers familiar with Oklahoma law, Sue Hamm has a legal claim to any increases in the value of stock or any other assets if her actions during the past 26 years contributed to those increases.

For advice on divorce, you need the expert law firm of Divorce Law LA. Schedule a consultation today.

Source: Dallas Morning News, Could a CEO’s divorce materially affect a company’s future? September 1, 2014

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Tags Divorce, Hamm Divorce, High Net-Worth Divorce

Divorce Bigger Issue for Professional Athletes

Post author By Scott
Post date August 18, 2014

When it comes to professional athletes’ personal lives it seems the focus often turns to domestic violence, but it seems the larger issue is how difficult it can be for a professional athlete to make a marriage work. In fact, according to The New York Times and Sports Illustrated, the divorce rate amongst professional athletes is estimated to be between 60 to 80 percent – a marked increase compared to the national average of 50 percent.

Why?

Fame, money, travelling for games, as well as being bombarded by adoring groupies can take a toll on a marriage. New York divorce attorney, Bruce Provda says, “It’s hard to keep a marriage going if you’re a celebrity athlete. There is a great deal of temptation and a ton of money available. It’s a bad combination.”

Examples of Pro Athlete Divorces

There are numerous examples of professional athletes who have dealt with divorce. Some of the most high-profile divorces have been those of Kobe Bryant, Tiger Woods, and Michael Jordan. Kobe Bryant didn’t have a prenuptial agreement for his divorce from ex-spouse Vanessa. He ended up settling for approximately half of his net worth – an estimated $350 million. When Michael Jordan split from ex-spouse Juanita he paid a $168 million settlement. When Tiger Woods and his ex-spouse Elin Nordegren split, Wood had to pay his ex-spouse $100 million.

High Net-Worth Divorces

High net-worth divorces can be difficult to resolve. If you are facing a divorce that involves a division of large amounts of assets, you’ll need to work with an attorney that is well-versed in these types of cases. If you are considering marriage and you and your future spouse have a high net-worth you might want to consider signing a prenuptial agreement. An attorney will also be able to help you negotiate a settlement – it just might save you form a lot of emotionally draining litigation in the future.

For advice on high net-worth divorces, you need the expert law firm of Divorce Law LA. Schedule a consultation today.

Source: Forbes, Divorce, Not Domestic Violence, Is Biggest Issue At Home For Professional Athletes, August 15, 2014

33 S. Catalina Ave. Ste. 202

Pasadena, Ca. 91106

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Tags Divorce, High Net-Worth Divorce

Divorce High Net-Worth Divorce

New “Largest Divorce Case Ever”

Post author By Scott
Post date August 14, 2014

According to court documents, lawyers for Harold Hamm and his wife Sue Ann Hamm recently faced off in divorce court in Oklahoma City. While the details of the case are not know (the judge sealed most of the records and proceedings), what is known is that Mr. Hamm, 68, is estimated to be worth $20.2 billion. And most of that wealth was accrued during his marriage of 26 years.

Previous “Most Expensive Divorce” Title Holder

Russian oligarch Dmitry Rybolovlev’s May divorce settlement of $4.5 billion was previously dubbed the “most expensive divorce in history.” But Mrs. Hamm, 58, would only need to receive a quarter of Mr. Hamm’s net worth in order to surpass that.

Hamm’s Billions

Mr. Hamm made his billions as founder and chairman of Continental Resources. The company helped pioneer fracking. He was number 39 on Forbes’ list of the world’s richest people, and was also top energy adviser to Mitt Romney’s during his 2012 presidential campaign. In that same year Hamm was also named one of Time Magazine’s most influential people.

Judge’s Orders

The judge sealed the case due to concerns regarding sensitive information about Continental, a large producer of North Dakota’s Bakken Shale. The judge also set aside 8 weeks for the trial. According to attorney M. Shane Henry, how the Hamm’s assets will be split is dependent on two central issues: the date used for separation of assets and how much Mrs. Hamm contributed towards the growth of the company. She was a former executive at Continental as well as a partner to Mr. Hamm. The earlier the date for the separation of assets, the more likely that Mr. Hamm will be able to retain a larger amount of money. While most parties settle, “the reason these people can’t settle is it means literally millions and millions of dollars to one side or the other,” Henry said. According to Reuters, there is not prenuptial agreement. Not that that always matters. According to New York attorney, Seymour Reisman, “Prenuptials are like any contract, lawyers can find loopholes to set them aside.”

For advice on family law and high net-worth divorces, you need the expert law firm of Divorce Law LA. Schedule a consultation today.

Source: CNN Money, Oil tycoon could face record divorce judgment, August 12, 2014

33 S. Catalina Ave. Ste. 202

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Tags Divorce, High Net-Worth Divorce

Griffin Divorce and High Net Worth Divorces

Post author By Scott
Post date August 1, 2014

According to some Chicago divorce attorneys, Citadel LLC’s founder and CEO Ken Griffin, and wife Anne Dias Griffin are planning their high-net-worth divorce.

High-Net-Worth Couple

Mr. Griffin’s personal net worth is estimated to be $5.2 billion. The company he founded, Citadel LLC is one of the U.S.’s largest hedge-fund managers of an estimated $20 billion in assets. Mrs. Griffin is a money manager and also a partner at Aragon Global Management, a company that invests in global media, technology, as well as telecommunications companies.

Next Steps

As a couple with high-net-worth prepares for divorce, the first step is often to scrutinize the prenup for any possible loopholes or hidden assets. This is often done quickly out of fear that the other spouse will be quick to conceal assets or make the information unavailable. “A sort of financial paranoia comes into play,” says Chicago divorce attorney Marshall Auerbach. “Generally speaking, the more money there is to fight over, the more contentious the case will be.” A divorce such as this one might be straightforward – simply because of how detailed the prenuptial agreement was. According to a source close to the couple, Ms. Griffin will receive a lump sum and Mr. Griffin will “take care of all the financials for their children. It’s very straightforward.”

Prenuptial Agreements in High-Net-Worth Marriages

Often when a couple comes together, and both parties already have established high net worth individually, it’s crucial that a prenuptial agreement is drafted. A licensed family law attorney can help you put together a prenuptial agreement if you and your spouse want to go down that route. It is also advised that you both seek your own personal attorneys for the drafting of this document, so that both parties are able to feel they’ve come to that agreement on their own terms. Though divorce is often a very emotionally draining situation, in high-net-worth divorces a prenuptial agreement can help it from becoming an even more bitter debacle.

For advice on family law and all it’s aspects including high net worth divorces, you need the expert law firm of Divorce Law LA. Schedule a consultation today.

Source: Chicago Business, What happens next in Ken Griffin divorce case, July 28, 2014

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Pasadena, Ca. 91106

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